Saudi ArabiaNews & Updates

Who Pays the Rental Renewal Fees? Ejar Clarifies

The Ejar platform has clarified the annual fee required to renew rental contracts in Saudi Arabia.

For residential buildings and apartments, the annual renewal fee is 125 SAR, which must be paid by the property owner.

This was clarified in response to an inquiry from a beneficiary regarding whether the fees are the responsibility of the landlord or the tenant, with Ejar confirming that the landlord is responsible for the payment.

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For commercial rental contracts, the fee is 200 SAR for the first year and 400 SAR annually for renewal thereafter.

Ejar also explained that if either party is unwilling to renew the contract, the tenant must vacate the property on the day the contract expires.

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